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CHENG INC. Comparative Balance Sheets December 31 Assets \( \end{array} \) $111.000 $60.000 Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Net Cash Used by Operating Activities Additional information: 1. New equipment costing $80,200 was purchased for cash during the year. 2. Old equipment having an original cost of $57,100 was sold for $12,900 cash. 3. Bonds matured and were paid off at face value for cash. 4. A cash dividend of $28,000 was declared and paid during the year. Total Liabilities and Stockholders' Equity \begin{tabular}{lrc} Accounts payable & $111,600 & $68,000 \\ Accrued expenses payable & 16,300 & 17,100 \\ Bonds payable & 112,600 & 149,000 \\ Common stock & 220,100 & 176,000 \\ Retained earnings & 245,800 & 101,400 \\ Total & $706,400 & $511,500 \\ \end{tabular} CHENG INC. Income Statement For the Year Ended December 31, 2020 Sales revenue $391,900 Less: Cost of goods sold $135.500 Operating expenses, excluding depreciation 11,100 Depreciation expense 33,200